THB Capital Management, an investment management company, released its “THB Micro Cap Strategy” Q3 2024 investor letter. A copy of the letter can be downloaded here. During the quarter, equities performed well as investors gained confidence in the US economy’s soft or no landing scenario. The THB Micro Cap Strategy aims for long-term capital appreciation across market cycles through a disciplined and actively managed methodology. The Strategy typically owns 90-125 shares from the Russell Microcap® Index, that includes around 1,700 stocks and has a high active share. The strategy outperformed the benchmark in the quarter by 2.01% and trailed one-year period (net of fees) by 4.18%. In addition, you can check the fund’s top 5 holdings to know its best picks in 2024.
THB Micro Cap Strategy highlighted stocks like Ribbon Communications Inc. (NASDAQ:RBBN) in the Q3 2024 investor letter. Ribbon Communications Inc. (NASDAQ:RBBN) is a communications technology provider. The one-month return of Ribbon Communications Inc. (NASDAQ:RBBN) was -3.69%, and its shares gained 79.36% of their value over the last 52 weeks. On December 4, 2024, Ribbon Communications Inc. (NASDAQ:RBBN) stock closed at $3.91 per share with a market capitalization of $685.751 million.
THB Micro Cap Strategy stated the following regarding Ribbon Communications Inc. (NASDAQ:RBBN) in its Q3 2024 investor letter:
“Ribbon Communications Inc. (NASDAQ:RBBN) is a new addition to the strategy. It is a leading supplier of IP-based real-time communications solutions (both equipment and software) for service provider carriers and enterprise customers. The company was created by the merger of Sonus and GENBAND in 2017, and later it entered the optical networking industry through the acquisition of ECI Telecom in 2020. Ribbon is currently benefiting from new customer wins like Tier 1 service providers Verizon and Lumen as it helps them in network transformation. Ribbon is also offering the industry’s latest 5-nanometer (nm) and 3-nm optical engine technology in its new DCI (data center interconnect) product offerings, where it has a pipeline of 20 customers (mainly second-tier data center operators and telcos) deploying its solutions to connect data centers over fiber.”
A skyline view of futuristic telecommunications towers.
Ribbon Communications Inc. (NASDAQ:RBBN) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 11 hedge fund portfolios held Ribbon Communications Inc. (NASDAQ:RBBN) at the end of the third quarter which was 13 in the previous quarter. While we acknowledge the potential of Ribbon Communications Inc. (NASDAQ:RBBN) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed Ribbon Communications Inc. (NASDAQ:RBBN) and shared the list of most undervalued penny stocks to buy According to analysts. In addition, please check out our hedge fund investor letters Q3 2024 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.